Dixons to sell Pixmania

The share price of Dixons is up this morning (September 5th), after the company confirmed it has received an offer for Pixmania.

It was announced by the firm that German industrial group Mutares has tabled a bid for the loss-making online retailer, but under the terms of the deal, Dixons will provide 69 million euros (£58 million) to support the company.

Dixons chief executive Sebastian James explained the firm has had an encouraging start to the year despite electronics and air conditioning sales being affected by the weather.

"Margins have held up reasonably well across the group despite some anticipated and vigorous skirmishes in the Nordics where, I am happy to say, we have continued to grow market share," he said in a trading update.

Dixons' sale of Pixmania to Mutares requires negotiation with representatives of the firm's 1,200 staff and the deal will not go through until this part of the process has been completed.

Stocks in Dixons rose by 8.29 per cent by 08:37 BST on the back of the news.

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